Archive for May, 2006

General Motors Corp. is recalling more than 30,000 Chevrolet Corvettes because of a defect that causes detachable roofs to fly off while driving.

The recall issued this past week affects certain 2005-2006 models with painted roofs. The adhesive between the roof panel and magnesium frame may separate, GM spokesman Alan Adler told The Detroit News.

The Corvette’s hard top weighs between five and 10 pounds. If there is a complete separation, the roof panel may detach from the vehicle and it could strike another vehicle.

Of course, those who need to worry about this the most, are those driving the Corvettes who have something on their “roofs” that could fly off too.

Have you ever hit a rug at 70 mph?

Technorati Tags: General Motors, GM, recall, corvettes, detachable roof

A federal jury Wednesday began deliberating the fate of former Enron Corp. chiefs Kenneth Lay and Jeffrey Skilling, accused of lying to investors and employees before the collapse of the Houston-based energy giant in one of the biggest corporate scandals ever.

Jurors got the blockbuster fraud and conspiracy case after two-and-a-half days of closing arguments from prosecutors and defense lawyers and after more than 14 weeks of testimony. They are deciding 28 criminal counts against Skilling, Enron’s former chief executive, and six against Lay, the company founder. Both face long prison terms if convicted.

With everything else happening in the news, the mainstream media hasn’t focused too much on this case.

Let’s hope they throw the book at them.

[Source: Yahoo! News]

General Motors Corp.’s unsecured debt could be downgraded deeper into junk status by Moody’s Investors Service after the automaker said it might have to offer collateral when it renegotiates a $5.6 billion bank loan.

Moody’s outlook remains negative because collateralizing the loan means bondholders would recover less of their investment should the automaker file for bankruptcy.

The rating company affirmed GM’s B3 rating, six steps below non-investment grade, because renegotiating the line of credit would give GM access to more cash. The action involves about $30 billion of debt.

GM needs to maintain a credit rating equivalent to CCC or its plan to sell a majority of the General Motors Acceptance Corp. finance unit would be at risk because of a sale clause.

How far into “junk status” could a bankrupt company get. Once you’re bankrupt, isn’t it all junk?

Oh, that’s right… Companies don’t file bankruptcy… They file for bankruptcy protection… Talk about junk.

Walt Disney Co on Friday completed its acquisition of Pixar Animation Studios Inc. shortly after Pixar shareholders voted to approve the transaction.

The all-stock transaction calls for Pixar shareholders to receive 2.3 shares of Disney stock in exchange for each Pixar share. At the time it was announced in January, the transaction was valued at $7.4 billion, based on Disney’s then-share price of $25.52.

I haven’t decided if this is really a good thing or not. While it’s good on some levels, I can’t help but wonder if the creative edge that Pixar had will be lost forever… I hope not.

Technorati Tags: Walt Disney Co., Pixar Animation Studios, acquisition

Delta Airlines filed for federal bankruptcy protection in September 2005. They have not emerged from this bankruptcy yet have they?

Casual gray culottes are out. Sophisticated red wrap dresses are in.

Fashion, function — and flying — came together Monday when Delta Air Lines’ front line personnel donned their new uniforms in navy blue and red, accented with gold, white and platinum.

Designed by Australian Richard Tyler, the women’s collection of 25 items includes navy and red wrap dresses — flight attendants will wear the red version — pants, blazers, shirts, a peacoat and accessories. The men’s line of 15 pieces features blazers, trousers dress shirts with plain or French cuffs, a reversible all-weather coat and a hat. Employees do not have to pay for their uniforms.

Flight attendants, customer service agents and Crown Room club representatives — about 20,000 strong — will sport the new attire. Delta officials would not disclose the cost for its uniform change, or for hiring Tyler.

Did they really need to spend the money to design and implement new uniforms when they are “trying to survive”?

Although Delta is still in Chapter 11 bankruptcy proceedings — and looking for ways to cut $3 billion in annual costs — the company feels this is the right time to introduce new uniforms.

“When companies are in the position that Delta is right now, you need to differentiate yourself in the market,” said Patrick Childress, a Delta spokesman. He calls the new uniforms part of “a rebirth for the airline and a morale booster for employees.”

If people really cared what the flight attendants looked like Hooter’s Air would still be in service.

[Source: Atlanta Journal-Constitution]

Technorati Tags: Delta, bankruptcy, flight attendants, uniforms